Where to start for an introvert with no/little money?

Question

Hi -

I really, really, really like real estate as an investment. But, I'm unsure how/where to get started. Here's my situation:

1. No/little money. I'm going through a cash-out refinance process to see how much I may qualify for. It likely won't be much. Still need to get my taxes done this year for them. By "not much money," I mean I might qualify for $50,000 - $80,000. And that's a BIG MIGHT. I had an existing business fall to pieces and am in the process of looking for a job (or other means of income), so money is hard to come by.

2. Introvert. I don't like to have to deal with people all day long. I understand some is necessary. My strengths lie in numbers, research, and patience. Buying-and-holding property appeals greatly to me.

Someone else suggested these might be good areas to start for introverts:

1. Tax liens

2. Land

3. Private lending

Are there courses or resources for learning these strategies, or others that might be a better fit?

Appreciate all your help,

Dan

Stephen Heebner · Answer

I am usually more of a reader than a contributor on these forums, but since you're an introvert I thought I would chime in. I am a HUGE introvert. I do not dislike people, I just really dislike dealing with people! HA! I had a rental property that was running well, and my personality simply led me to sell the property. I sold it under owner financing for 2 years and then was just recently paid off. Ultimately I find much peace with things such as (though I am not recommending necessarily): Arrived, Ground floor, 7e investments (notes), etc. These are truly passive and fit a person like me and my introverted personality. So not sure if you have looked into some of these types of "crowd funding/sourcing" platforms? I also, personally, do not like borrowing money, so these options also help in that area. Nothing against borrowing, I just like to avoid it. For whatever its worth these are my thoughts... introvert to introvert! :)

Alecia Loveless · Answer

@Dan Stelter Hi Dan. I’m primarily a buy and hold investor and usually don’t spend all that much time on a weekly basis with people. I am currently in the process of leasing up a vacant property we’ve been renovating however and that has SIGNIFICANTLY increased the amount of people time that I have had recently so for you if that is a huge issue I would not recommend getting involved with any vacant properties that involve total lease ups or else you might just prefer utilizing a property manager.

I looked into tax lien investing at one point but didn’t pursue it mostly because my money was tied up elsewhere. This might be a good option for you.

If you do decide to pursue buy and hold I’d recommend long term rentals because there’s less people involvement. For between $50-80,000 you can likely get into a decent duplex which would help you figure out if you enjoy investing or not. It’s just big enough to start developing systems and processes and figure out how to do things.

If you enjoy that you can buy another, if not you can sell and it’s usually very easy to get your money back because nice, well kept duplexes are hot right now.

Deborah Pyburn · Answer

Dan, before I got to the bottom of your list, I’m IMMEDIATELY thought of tax liens/deeds and land which I’m happy to see they’re on your list. I took a class about buying over the counter (OTC) tax liens lead by JP Moses through AwesomeREI. I thought it was great. It taught me how to get tax liens without worrying about tracking county auction dates. I bought a few cheap liens ($70-$80) out of FL just to test the process and they both were redeemed giving me some interest. I shifted focus but def plan on going back to the strategy and ultimately plan on graduating to deeds so I can acquire the land.

Travis Timmons · Answer

You have to get consistent income before you do anything. You are borrowing money to invest in real estate with no experience while you do not have an income. That's a bad idea and is not the answer to your income problem.

As for being an introvert, there's a bunch of us here. You'll be fine unless you want a job in real estate (like being an agent) that requires heavy outreach, cold calls, or interaction with others.

Pat Parrillo · Answer

@Dan Stelter I like the Author Mark Manson's outlook on life and getting out of your comfort zone. He's got stoic vibes in a real world writing tone. Being an introvert is relative. Everything is on a spectrum. There no binaries in life. You may be more introverted in some scenarios and more outgoing in other scenarios that you feel more comfortable. Play to your strengths while considering getting out of your comfort zone. This is something I can work on and I think most everyone can. Worth a look checking out his books / blog.

Travis Kallay · Answer

Hiya, I'm not super outgoing either.  I can be in crowds who I'm very familiar with, but with strangers, I can be awkwardly reserved.  Like others mentioned and you, yourself mentioned, you have options that work.  To choose, think about what your goals are.  Obviously, cash limitations are your primary concern right now, with the whole job thing going on.  Personally, I wouldn't be risking a lot of my own money, if I was anticipating a personal cash flow problem.  Assuming you get that part sorted out, decide what you want out of your money and choose the method that gets you there.  Your motivation will take care of the rest, but be realistic.  If you can't rise up to what is required, find dependable people to fill in the gaps.  That's really how things work, anyway.  There are a few Milwaukee investors who are fairly active and looking for partners.  You can step in as a limited partner and not have to deal with anybody, really.

Jonathan Klemm · Answer

Hey @Dan Stelter!  You are already doing the right thing by posting here on BP.  I am also a natural introvert, but have learned that putting myself out there and getting uncomfortable is a skill.

My biggest suggestion would be to go to as many local in-person meetups as possible and find the people who are "moving and shaking" to become friends with them.  Also, be-friend the hosts of the meetups.

Work on saving money, networking, and educating!  This is the exact model I followed here in Chicago.

Tim J. · Answer

Instead of limiting the investments that you consider, get over the whole "introvert" thing.

Step outside your comfort zone and make things happen.  Using "introvert" as a crutch/excuse is going to limit yourself.

Go talk to people.  You are going to have way more success if you overcome whatever reluctance you have with interacting with people.

John Underwood · Answer

Tax liens can be very cash intensive and very competitive. You might be able to find a money partner. Check you local Real Estate Club first.

Where to start for an introvert with no/little money?

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